What is there to complain about this week?
Insurers have braced themselves this week as Atlantic storms swept across the UK. The wild and wet weather prompted the AA to issue a statement, saying the rain should make the government focus on home insurance, and highlighted the lack of progress made in finding a replacement for the Statement of Principles.
Insurance insolvencies climbed 30.8% in August 2012, compared with the same period in 2011, according to the Experian business insolvency index. The index revealed that 0.15% of insurance firms were declared insolvent last month, compared to 0.11% in August last year. The report stated the insurance sector had 17 insolvencies last month.
AXA’s outlook has been revised to negative from stable by Fitch Ratings over concerns about the group’s ability to improve its profitability, particularly in the face of low interest rates. The rating agency maintained the insurer financial strength rating of the parent company and its subsidiaries, including AXA Insurance plc (UK), at AA.